Double Taxation Treaty (DTT)
An agreement between two countries to prevent the same income from being taxed twice.
Double Taxation Treaties (DTTs) are bilateral agreements designed to promote international trade and investment. They determine which country has the right to tax specific types of income (like dividends, royalties, and business profits) and often provide mechanisms for tax credits or exemptions to ensure a taxpayer is not penalized for operating cross-border.
Related terms
Corporate Income Tax
A direct tax imposed by a jurisdiction on the income or capital of corporations or analogous legal entities.
Tax & feesFranchise Tax
A tax charged by some US states for the privilege of doing business or incorporating there.
Tax & feesVAT Registration Threshold
The specific level of taxable turnover at which a business must legally register for Value Added Tax (VAT).